Barclays chief pledges to change culture

By Giles Broadbent on February 12, 2013 4:41 PM |


The boss of troubled Barclays has signalled a change in culture at the Wharf-based bank despite handing out £1.85billion in bonuses to staff.

Antony Jenkins said he was "changing the way we do business" and confirmed the closure of the Structured Capital Markets division, which reaped huge profits for Barclays by making complex arrangements that slashed tax bills.

Mr Jenkins said 3,700 jobs would go - mostly in foreign operations - in a strategic overhaul aimed at restored the bank's reputation, torn to shreds in the Libor and PPI scandals.

He declared there would be "no going back to the old ways" as he handed out an average bonus of £54,100 for his investment banking staff. He insisted this was a lower figure than last year.

He said: "We never want to be in a position again of rewarding people for activity that's inconsistent with our values," he added.

Pre-tax profits of £246million in 2012, down from £5.9billion, reflected the damage inflicted by the mis-selling of compensation schemes. With provisions to cover these costs stripped out, Barclays said profits rose 26% to £7.05 billion.

Barclays has rejected claims of a casino bank and Mr Jenkins said it "would remain a very large part and an important part of the group".